Airline stocks are recovering after United sparked a selloff by hinting at a price war (UAL, AAL, ALK, DAL, LUV, JBLU)

Kimberly Chin

Jan. 25, 2018, 09:30 AM

Getty Images/Scott Olson

United Airlines said on Wednesday that it would increase the capacity on its planes, which could bring its prices down.

There's speculation that the move could spark a trade war with low-cost carriers.

Shares of major airlines rebounded on Thursday after selling off the prior day.

Shares of major airliners rebounded on Thursday after selling off the prior day.

Stock losses on Wednesday were driven by the news of United Airlines' plans to go head-to-head with low-cost airliners by selling, and most major airliners fell in tandem. United fell as much as 10% in intraday trading yesterday on speculation that the move could weigh on profit margins.

While United remained weaker on Thursday, most competing airlines saw some relief.